accidentally transmits 320k ETH to, recovers funds days after

The fall of FTX highlighted the significance of evidence of reserves in averting risks and improving investor confidence, advocating leading crypto exchanges to openly list lower their cold and warm wallet addresses. When attempting to verify the supply of funds on, cold store information revealed a suspicious change in 320,000 Ether (ETH) to some wallet address associated with on March. 21, 2022.

On chain data confirms the change in 320,000 ETH from to Source: Etherscan

Community member jconorgrogan elevated concerns concerning the transfer of 320,000 ETH from’s cold wallet to, thinking about the former claims that 100% of user-owned cryptocurrencies are held offline in cold storage together with hardware wallet provider Ledger.

As discussions selected up steam, Kris Marszalek, the Chief executive officer of, says the funds — representing 82% of’s ETH holding within the cold storage during the time of writing — were sent accidentally to

“It was said to be moving to a different cold storage address, but was delivered to a whitelisted exterior exchange address.”

Talking with Cointelegraph, spokesperson clarified the whitelisted address on was of Regardless, Marszalek confirmed that came back the funds to’s cold storage and reassured the investors that new processes featuring were carried out to prevent a reoccurrence.

During-chain data confirms that came back 285,000 ETH to, Marszalek mentioned that funds were came back. Further analysis demonstrated the missing 35,000 ETH was sent to a new address, that is not yet been confirmed through the crypto exchange.

In a number of tweets, Marszalek later described what transpired while confirming that of’s operations were functioning normally.

It isn’t the very first time made headlines to have an accidental transfer. In August 2022, it had been discovered that accidentally sent AUD $10.5 million (worth over $seven million) to Melbourne-based investors, that was said to be an AUD $100 ($67) refund. The incident happened in May 2021 but wasn’t discovered until a yearly audit in December 2021.

Related: commits to proof-of-reserves after halting FTX-backed Solana deposits and withdrawals

Marszalek guaranteed to write audited evidence of reserves on November 10 while highlighting the significance of transparency and user’s safety.

With many crypto companies prepared to share their evidence of reserves, investors are in possession of the chance to verify the presence of their, which ultimately prevents business proprietors from misusing the cold storage funds.

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